Information System

Of
British American Tobacco
Bangladesh
 Executive Summary
British American Tobacco Bangladesh (BATBC) is one of the oldest and largest
multinational companies operating in Bangladesh. The UK-based British American
Tobacco Group holds 65.91% share in the company. The Government of Bangladesh
owns 28.7% through several of its agencies, while 5.39% is owned by other
shareholders. British American Tobacco Bangladesh uses high technological information
system. In every department of BATBC is consists of new software that provides good
technological support for them and maintaining their data about customer, market and
overall organization in a very decent way.

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Chapter 1

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 Introduction

British American Tobacco Bangladesh is one of the oldest and largest multinational
companies operating in Bangladesh. The UK-based British American Tobacco Group
holds 65.91% share in the company. The Government of Bangladesh owns 28.7%
through several of its agencies, while 5.39% is owned by other shareholders.

They are the leading business organization in the industrial sector employing more than
1,300 people directly and a further 40,000 indirectly as farmers, distributors and
suppliers. They have business contracts directly with around 21,000 registered farmers
who produce high quality tobacco leaf.

British American Tobacco Bangladesh began its operations in the sub-continent in the
year 1910 as Imperial Tobacco Company Ltd. Post 1947, Pakistan Tobacco Company
(PTC) came into existence with its head office in Karachi. During that time, PTC's East
Pakistan office was in Armanitola which was ultimately moved to Motijheel.
After independence, in 1972, Bangladesh Tobacco Company (BTC) was formed with
British American Tobacco holding majority of the shares. In March 1998, Bangladesh
Tobacco Company changed its corporate name into British American Tobacco
Bangladesh proclaiming its common identity with other operating companies in the
British American Tobacco Group.

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 The History of the Company

British American Tobacco is the world's second largest quoted tobacco group by
global market share, with brands sold in 180 markets. With more than 300 brands in
our portfolio, they make the cigarette chosen by one in seven of the world's one billion
adult smokers. They hold robust market positions in each of their regions and have
leadership in more than 50 markets.
The Group's subsidiary companies have 64 cigarette factories in 54 countries producing
some 678 billion cigarettes (including the make-your-own cigarette 'stix') and 7
factories in 6 countries manufacturing cigars, roll-your-own and pipe tobacco. The
Group's associate companies have 14 cigarette factories in 7 countries producing some
232 billion cigarettes. Our companies, including associates, directly employ almost
97,000 people worldwide.
Our business enables governments worldwide to gather over £15 billion a year in taxes,
including excise duty on our products, over 8 times the entire Group's profit after tax.

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Chapter 2

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The Information system in terms of Functional Perspective:
British American Tobacco Bangladesh (BATBC) has comprehensive operations in
Bangladesh. It often terms this as 'seed to smoke' which means it have operations that
start from growing tobacco to distribution of cigarettes. Its different functions work in an
integrated approach with shared goal of achieving the company's vision and objectives.

Sales and Marketing Systems:

At British American Tobacco Bangladesh, informed adult consumers are at the centre of
our interest. Marketing in the tobacco industry requires more focus, more acumen and
most importantly a clearer sense of responsibility than in any other industry. It expect
their marketing team to have the ability to differentiate their marketing initiatives, to
manage productive and profitable relationships with its key accounts, to integrate
strategies above and below-the-line and to be innovative - while always behaving
responsibly, which is a fundamental philosophy in its marketing challenge.
Marketing operations at British American Tobacco Bangladesh include a range of
activities like Brand management, Trade marketing and distribution, Market research
and consume dialogue, and specialized channel management etc.

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Some highlights follow:

Building Brand:

It is the effective management of all elements of the Marketing Mix (with the exception
of above-the-line and other marketing activities that are restricted by law as well as by
their voluntarily adopted internal marketing standards) and is extremely critical to their
business success.

Trade Marketing & Distribution:

It is all about developing and implementing distribution plans · implementing

merchandising and point of sale practices; monitoring and managing out of stocks and
building an effective relationship with customers.

Consumer Insights dealing:

Consumer insights deals with understanding of consumer needs, preferences and

purchasing behavior.

Managing specialized channel:

It is about effective management of business channels with key accounts in Hotels,

Restaurants and Cafes (HORECA), Grocery and Convenience channels.

The Information System Used in Marketing and Sales:

The British American Tobacco use DSS application in Sales and Marketing. Model
driven DSS support decision about product pricing, sales forecasting and advertising and
promotional campaigns. The company also uses DSS for customer relationship
management (CRM) to analyze customer purchasing patterns, detect customer retention
problems, identify profitable customers and develop targeted marketing campaigns.

BATBC implement order processing system in its operational level to enter, process and
track orders. It implement pricing analyzing system in its management level for
determing prices for products and services. It also implements sales and forecasting
system in its strategic level for preparing sales forecast.

Operations System:

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Operations function is at the heart of their business, so we invest substantially in people
and technology to ensure that their processes are state-of-the-art, highly flexible and
responsive to the needs of our customers and consumers alike.

Working in operations means constantly having to balance the demands of availability,

quality and cost. Our people operate in a high speed environment and under tremendous
pressure, so they need the strength of mind to make quick decisions, often basing them
on limited information. They also need to be open to innovative solutions that can
improve our processes. The three major components of our Operations department are:

Green Leaf Threshing Plant (GLTP):

The company's GLTP, set up in 1994, is in Kushtia. It prepares the green tobacco leaf
procured by our Leaf team for further processing and manufacturing.

Primary Manufacturing Department (PMD):

It is responsible for further conditioning of the tobacco to make it ready for production.

Secondary Manufacturing Department (SMD):

It uses the tobacco, which is blended and conditioned by PMD, along with wrapping
materials, to manufacture cigarettes.

The Information System Used in Operations:

Apart from producing a wide range of brands and SKUs, the department also takes care
of security, procurement, logistics, technical maintenance, process and quality control,
employee relations, and other aspects of the business. One significant aspect of our
operations is the effort to ensure a working environment which complies with world-
class Environment, Health and Safety (EHS) standards. A number of Zero Accident
Awards from the BAT group head quarters stand testimony to the success in this regard.
BATBC control the action of machines and equipment in its operational level through
machine control system. In management, level it decides when and how many products
should be produce through the production planning system. BATBC implement facilities
location system for deciding where locates new production facilities in its strategic level.

Finance and accounting System:

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 In a competitive business environment, a commercially astute finance function is
critical for making good business decisions - for example - about which brands or
countries to invest in, in evaluating and improving returns and of course, in managing
the delivery of consistent profit growth to the shareholder.

Finance managers within BATB are part of the decision-making team, a business
partner who is consulted and involved day to day, not merely reporting results and
setting budgets. Having moved beyond the 'comfort zone' of purely technical
accountants, into added value decision support, they require people who are
commercially astute, intellectually curious and passionate about business life, not just
figures.

Whether we are working in tax or treasury, or in the business partnership roles

supporting marketing, operations and the other functions, we will find the need of
excellent communication and influencing skills to represent finance in the commercial
arena

Finance & Accounting department's activities within (BAT BC) include:

• Setting and delivering against financial objectives

• Planning and budgeting for optimal use of resources to grow the
business and to satisfy shareholder expectations
• Management reporting to the Board on business performance,
current and future
• Statutory reporting and support of investor relations
• Audit and business risk management
• Acting as a value adding business partner to all functions

The Information System Used in Finance and Accounting System: The British
American Tobacco Bangladesh (BATBC) use Electronic Data Systems (EDS)
dashboard application version. It use for automatic graphics on a four quadrant chart to
represent the data flowing in from an automated sales force program that tracks where
revenues comes from.

BATBC tracks its money owned the firm by following Accounts receivable system in
it’s operational level. It’s management level prepare short term budget through
budgeting system and it’s strategic level plans its long term profits through profit
planning system.

For implementing Accounts receivable system, Budgeting system and profit planning
system they use proper information system.

Human Resources System:

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The Human Resources department bears primary responsibility for creating and
sustaining a winning workforce for BAT Bangladesh. What this means is providing
opportunities for talented employees to feel the satisfaction and fulfillment gained
through being members of a responsible, winning organization; where they are
respected, rewarded and recognized; where their efforts are encouraged; where their
careers are developed; where they understand the vision and strategy of the company.
and they know where they fit into the bigger picture.

The HR function within BAT Bangladesh takes care of three broad areas:

• Organizational development
• Reward
• Talent resource
• Employee relations.

The Information System Used in Human Resources:

British American Company’s Human Resources function uses model based decision
support system for analysis of labor contract costs or alternative compensation plans for
nonunion employees. Executive information systems are used for human resources
planning to project the firms’ long term labor force recruitments.

BATBC’s operational level tracks employee training skills and performance appraisals
through the training and development system. Management level of BATBC monitors
the range and distribution of employee wages, salaries and benefits through
compensation analysis. By implementing the human resources planning system in the
strategic level this company plans its long-term labor force needs of the organization.

So for implementing Training and Development system, Compensation system, and

Human resources planning system BATBC established and maintain quality full and
proper Information system in it.

The Advantages of Information System used in the company:

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  It helps to keep the record properly.

 It provides current data to the management.

 It provides up to date information to the functional level manager.

 It keeps record properly.

 It gives more accurate data in a very short time.

The two new Information Systems that can be implemented in

a company:
1. British American Tobacco can use a high speed internet connection that is tagged
with every employee. This helps the organization to collect the information or any
kind of help in a difficult situation when the employee is not physically present.

2. It can also use some auto upgraded software that upgrade the data without any
kind of human touch and provide information to the need people in time.

The barriers to implement the system:

1. The money needed for this kind of information system is not match up with the
structure.

2. Yet Bangladesh is not backed by high speed internet service everywhere in the
country.

My willing:
By kept in mind all this things I like to work with British American Tobacco because
this provides a lot of facilities in terms of information system.

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